Specialist Manufacturing Sector: Regional Economies

Jim Shannon Excerpts

Wednesday 19th November 2025 Westminster Hall

[Jim Shannon (Strangford) (DUP)]

Thank you for calling me early, Mrs Harris; you are very kind. I am sure hon. Members are wondering why. I thank the hon. Member for Calder Valley (Josh Fenton-Glynn) for securing today’s debate. In his short year and a half in the House, he has shown himself to be assiduous on behalf of his constituents. He works hard, with a key focus on the subjects he brings to the House, both in the main Chamber and here. Well done to him.

Our manufacturing sector is crucial to the UK-wide economy. We must not forget the unique build-up of this country. I always say that we are better together, and there is no Scots Nats person here to tell me otherwise—not that that is a bad thing, but anyway. Whether it be Scotland, Wales, Northern Ireland or England, we can do it better, with a significant contribution to the manufacturing industry.

Library research highlights that in 2023, Northern Ireland added £2.2 billion gross value added in manufacturing economic output. In 2024, around 900 direct jobs were supported by the defence industry. Defence plays a crucial role in Northern Ireland, but it does not get its full percentage of defence contracts. I gently put that point to the Minister to get a helpful answer. The defence sector should get more contracts, although there have been lots of commitments.

With great respect, Northern Ireland people—men and women—have proven themselves as leaders in their contribution to the sector. The best is yet to come, with more young people becoming interested in all aspects of manufacturing and engineering. There is a keen interest in science, technology, engineering and maths study and employment in Northern Ireland, especially from young people and from women who have leading roles in manufacture. We are doing and seeing good things happening; we see equality and opportunity.

This is a good news story. Northern Ireland is home to major companies such as Thales and Bombardier. Bombardier at one stage had two major factories in Newtownards, hiring hundreds of people from the local area, showing our skill in the design and manufacture of composites and polymers. I usually visit Thales at least once a year with my right hon. Friend the Member for Belfast East (Gavin Robinson), who told me that the majority of the workforce live in my constituency of Strangford, so it is obviously to my advantage to be there.

The good news with Thales is that, with Government help, 200 new jobs have been created there. There are also important apprenticeship opportunities. Given my age, I have known some of the young fellows there since they were born. Aged 18, 19 or 20, they now have jobs at Thales, with fantastic opportunities, a good wage and help with their student fees. I have met unions on various occasions to hear their concerns, and have brought this issue to the Floor of the House to seek assurances.

There are some things I ask of the Minister. It would not be right to take part in this debate without highlighting the risks in the manufacturing industry relating to job security. At times like these, the Government are able to step in. That is my Great British Government, and everybody’s Government, whether we voted for them or not. On this occasion, efforts fell short in committing to the manufacturing industry in the way we wanted. I will mention Spirit AeroSystems, the plane manufacturer, and the contribution made by Northern Ireland. Northern Ireland may be a small nation, but we are mighty—a word not often used—just like small David, who took on big Goliath in the Bible and beat him.

Alongside Scotland, Wales and the mainland, specialist manufacturing is crucial to economic prosperity. There must be an unwavering determination to achieve that. I ask the Minister to engage with me and my hon. Friend the Member for East Londonderry (Mr Campbell) and other Northern Ireland MPs to ensure that, when it comes to helping each other, to make this great United Kingdom of Great Britain even greater and better, we do that together. It takes that commitment. Will the Minister work alongside a Northern Ireland Assembly Minister, the Assembly and us to deliver for everyone?

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[Chris McDonald]

I would have been disappointed had I mentioned the supercharger from the Dispatch Box and my hon. Friend did not intervene—I shall write that into my speeches from now on. His point is well made and is heard by me. A consultation on the British industrial competitiveness scheme will open shortly. I encourage the valve manufacturing industry of Calder Valley to participate in the scheme, and all Members to publicise the scheme to small businesses in their areas.

Hon. Members did not particularly mention regulation, but I want to raise it. Of course, £1 off the costs of regulation is worth £1 off any other business cost. A lack of new funding or of access to finance or working capital can be a reason that businesses fail to grow. Small companies tell me that financial institutions often do not understand their businesses or the need for more patient returns. We are undertaking a programme with the British Business Bank to make available £4 billion for our industrial strategy growth capital in industrial strategy sectors, and the Office for Investment will focus on high-value investments, leveraging the National Wealth Fund’s £27.8 billion for industrial strategy sectors.

Although we hear very strong voices regarding international alignment on products and standards, we also hear about the complexity of business regulation and its impact on smaller businesses. We have set out an ambition to cut the administrative costs of regulation for business by 25%. I am pleased to say that we have released a business questionnaire seeking views on the impact of regulation on businesses. Again, I ask for help from hon. Members in encouraging all manufacturers in their areas to consider closely which regulations are enabling or hindering growth, and where compliance is creating an undue burden.

[Jim Shannon]

I hope the Minister will forgive me if he is going to address my earlier request, which related to the Northern Ireland Assembly Minister back home. I know that he travels to Northern Ireland and has an interest in Northern Ireland, and it is important that we work together. Will he give the commitment I mentioned?

[Chris McDonald]

I did hear the hon. Gentleman say that earlier, and he is right that I have a strong interest in Northern Ireland and a great deal of respect for our advanced manufacturing there. I look forward to visiting the aerospace and shipbuilding industry there soon—I think it will be early in the new year—and I am absolutely committed to working with Northern Irish MPs and the local authorities to ensure that the manufacturing industry in Northern Ireland thrives.

Our plan for small and medium-sized businesses, published this year, includes a number of additional measures aimed at assisting those businesses, including ending late payments, modernising the tax system, establishing the new business growth service, and considering how we can best support exporting businesses to increase their exporting activity.